It is no surprise that a commission is comprised of Education leaders, (eager to cement their monopoly into the fabric of society for the forseeable future), and business leaders, (eager to perpetuate the subsidization of American education) have issued a report demanding more money for schools. The article states that “Current teaching is failing to prepare young Americans for the global economy,” and as always, the failsafe solution to any government inefficiency or failure, is to simply throw more money at the problem. “The commission recommends paying beginning teachers about $45,000 per year,” which is laughable. Perhaps beginning teachers should earn more. Perhaps they should not. We will never know the real answer so long as the market is controlled by one of the strongest unions in the world, and that … Read entire article »

I previously published a series of posts on the Housing Bubble and the fate of Serial Refinancers who have been, in my opinion, fueling the boom in real estate. The effects are noticed in Michigan. First there was the boom of the late 1990s and early 2000s, where we grew accustomed to double-digit property appreciation, set in motion by loads of easy credit on questionable terms. The inevitable results are predictable. Today, in the tri-county, Metro-Detroit area, listings are up 30% from a year ago, however, sales are down 15% or so. More listings. Fewer sales? Under conditions where prices are free to rise & fall in accordance with supply & demand, the increased number of listings in Michigan would be met, other things being … Read entire article »

An Open Letter to those who believe that the theory of Diminishing Marginal Utility is valid justification for an increasing marginal tax rate. The antagonist had cited DMU as “fundamental principle of Economics,” and had posited that this theory is valid justification for our current system of elevating marginal tax brackets. I offer you this piece as a retort: I do not profess to deny the principle of Diminshing Marginal Utility– certainly the first automobile you acquire is markedly more valuable (in terms of utility) than each subsequent automobile. But as we also know, value is not determined by utility alone, or it would be true that Iron is more valuable than Gold. Value is determined by desire to acquire an object (which may or may not correlate to said object’s … Read entire article »